Global fruit canning industry struggles with climate and market shifts

GLOBAL – Extreme weather and shifting markets are putting pressure on fruit canning producers worldwide, from Europe and the U.S. to South Africa and China.

Growers face rising costs, reduced harvests, and shrinking demand in a sector already competing with fresh fruit markets.

South African growers at break-even

In South Africa, producers continue to operate on thin margins. Jacques Jordaan, CEO of the Canning Fruit Producers’ Association, said recent figures highlight the scale of the pressure. “OABS data shows the average grower is close to break-even,” he explained.

In 2024, production costs excluding land, salaries, and return on investment reached about US$281 per ton for apricots, US$289 for peaches, and US$211 for pears.

Yet average selling prices after grading and juice contributions stood at roughly the same levels, leaving little to no profit.

After below-average volumes in 2019/20 and 2023/24, the 2024/25 season delivered a normal harvest. Confidence improved with news that Langeberg Foods, a group of producers and other stakeholders, will take over the Langeberg & Ashton factory from Tiger Brands on October 1, 2025. Still, production areas have declined sharply.

Cling peach orchards dropped from 5,800 hectares to 3,500 over the past decade, with a 7% fall each year in recent seasons. Bulida apricot orchards decreased from 1,500 hectares to 1,000, while Bon Chretien pears fell from 2,800 to 2,000 hectares.

Nearly half of Bulida apricot orchards are now older than 18 years, compared with almost a third of cling peaches.

Global setbacks

The same story is playing out abroad. In Greece, frost cut cling peach production by about 30%, with volumes estimated between 270,000 and 300,000 tons.

Apricot yields may fall by 40%. Spain’s apricot harvest halved after hailstorms, and peach volumes are forecast to decline by up to 15%. In the U.S., production is expected to fall 6% to 203,000 tons.

Uncertainty has grown since Del Monte, which processes about 35% of the U.S. canning fruit, filed a liquidation application.

In China, hot and dry weather is likely to reduce output by 20–30% from last season’s 895,350 tons, with much of the fruit too small for processing.

Trade terms and repositioning

Despite the smaller global supply, prices remain under pressure. Jordaan said high carry-over stocks, weaker demand, and new U.S. tariffs are key factors. “A third of the U.S.’s canned fruit is imported.

South Africa is a key player in this market, but it is unclear how the new tariffs will play out. The EU has secured a reduced tariff of around 17%, while South Africa faces 40%.

It’s a setback, but we’re still better off than China, which is paying 72%,” he said.

He added that shifting exports to China is not simple as the country prioritises its local market. Producers are instead seeking new opportunities in Asia. Jordaan also urged the sector to rethink its appeal to consumers.

“We need to market canned fruit as more than just a breakfast or dessert staple. It should be seen as a healthy, anytime snack,” he said.

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